Blackstone Sells Over 31 Crore Units in Nexus Select Trust for Rs 4,355 Crore
Blackstone sells over 31 crore units in Nexus Select Trust for Rs 4,355 crore
BlackstoneNexus Select TrustReitReal Estate Investment TrustIcici Prudential Mutual FundReal Estate NewsAug 10, 2024
Blackstone currently holds around 43 per cent stake in Nexus Select Trust, which is India's first real estate investment trust (REIT) backed by retail properties.
According to exchange data, Blackstone sold 31.55 crore units in Nexus Select Trust at Rs 138 apiece, taking the total transaction value to Rs 4,354.90 crore.
Domestic mutual funds, including ICICI Prudential Mutual Fund (MF), and HDFC MF picked up units of Nexus Select Trust. Among foreign companies, US-based financial services company Wells Fargo and Morgan Stanley acquired stake in the company while French asset management firm Carmignac bought units of the REIT firm, as per the data on the NSE.
These entities acquired a total of 11.75 crore units or 7.76 per cent stake in Nexus Select Trust. They purchased these units at an average price of Rs 138 per piece, taking the deal value to Rs 1,622.49 crore, as per the data.
Many existing investors also increased their unit holdings in Nexus Select Trust. Blackstone has monetised its investment in Nexus Select Trust through this block deal.
Post divestment, Blackstone's stake in Nexus Select Trust will reduce to 21 per cent. Nexus Select Trust's portfolio comprises 17 shopping malls with a gross leasable area of 9.9 million square feet spread across 14 cities, two complementary hotel assets (354 keys) and three office assets with a gross leasable area of 1.3 million square feet.
Blackstone has sponsored three REITs in India -- Embassy Office Parks REIT, MindspaceREIT and Nexus Select Trust, which got listed last year after raising more than Rs 3,000 crore through public issues.
As per the exchange data on the NSE and BSE, Blackstone through its affiliates, Blackstone Real Estate Partners (BREP) Asia II Indian Holding Co IX (NQ) and BREP Asia SG Red Fort Holding NQ offloaded units of real estate investment trust (REIT) firm Nexus Select Trust via separate bulk deals.
A total of 31.55 crore units or 20.82 per cent stake in Nexus Select Trust was sold by Blackstone through its arms. BREP Asia II Indian Holding Co IX (NQ) sold 18.89 crore units of Nexus Select Trust on the NSE while BREP Asia SG Red Fort Holding NQ disposed of 11.82 crore units of REIT on the bourse.
In addition, BREP Asia II Indian Holding Co IX (NQ) also offloaded 83.97 lakh units of Nexus Select Trust on the BSE. The units were disposed of at an average price of Rs 138 per unit, taking the combined transaction value to over Rs 4,354 crore.
Details of the buyers of Nexus Select Trust units could not be ascertained on the BSE. Nexus Select Trust's units plunged 4.93 per cent to close at Rs 137.05 apiece on the NSE while it ended at Rs 137.88 per piece, down by 4.51 per cent on the BSE.
Frequently Asked Questions
What is the total transaction value of Blackstone's sale of units in Nexus Select Trust?
Rs 4,354.90 crore
What is the stake of Blackstone in Nexus Select Trust after the sale?
21 per cent
What is the portfolio of Nexus Select Trust?
17 shopping malls with a gross leasable area of 9.9 million square feet spread across 14 cities, two complementary hotel assets (354 keys) and three office assets with a gross leasable area of 1.3 million square feet
Who are the buyers of Nexus Select Trust units?
Domestic mutual funds, including ICICI Prudential Mutual Fund (MF), and HDFC MF, as well as foreign companies such as Wells Fargo and Morgan Stanley
What is the impact of the sale on Nexus Select Trust's units?
Nexus Select Trust's units plunged 4.93 per cent to close at Rs 137.05 apiece on the NSE while it ended at Rs 137.88 per piece, down by 4.51 per cent on the BSE
Related News Articles
Nemetschek Group Partners with JJ College of Architecture to Drive Innovation and Skill Development in India
A Memorandum of Understanding (MoU) has been signed between Nemetschek Group and JJ College of Architecture to promote innovation and skill development in the Indian architecture industry.
Real Estate Continues to Dominate as Top Investment Choice in India: FICCI-Anarock Survey
A recent survey by FICCI and Anarock reveals that real estate remains the most preferred asset class for investment among Indians, with 59% of respondents across 14 cities favoring it.
Twinkle Arora: Guiding NRIs to Unlock Naugaon's Real Estate Potential
The Indian real estate market is buzzing with opportunities, and NRIs are increasingly looking to invest in their homeland. Twinkle Arora, a seasoned real estate consultant, is helping NRIs navigate the complexities of investing in Naugaon, a promising ar
Mumbai Police Closes Fraud Case Against HDIL Promoters: Rakesh and Sarang Wadhawan
The Economic Offences Wing (EOW) of the Mumbai Police has filed a 'C Summary' report, effectively closing the case against HDIL promoters Rakesh and Sarang Wadhawan. The case involved allegations of illegal sale of office units in the Kaledonia commercial
Trump Organization Ventures into Pune's Real Estate Market: What Does This Mean?
The Trump Organization is making a significant move into India's office space segment with the launch of Trump World Center in Pune. This 1.7 million square foot development is set to transform the city's real estate landscape and boost its position as a
Bollywood Singer Shaan Invests in Luxury Real Estate: Buys Bungalow in Pune for ₹10 Crore
Bollywood singer Shaan, known for his soulful music and chart-topping hits, has recently added a luxurious bungalow in Pune to his real estate portfolio. The property, costing a whopping ₹10 crore, underscores Shaan’s growing wealth and his strategic investments in the real estate market.